LONDON (Reuters) – The number of people in work in Britain surged and one measure of wage growth rose to a near one-year high, according to data that may encourage some Bank of England policymakers to think interest rates should rise again before long.
Sterling touched $1.41, its highest level against the U.S. dollar since the 2016 Brexit vote, and British government bond prices sank to their lowest level since October after Wednesday’s stronger-than-expected headline figures.
Britain’s economy slowed in 2017 as higher inflation – caused by a post-Brexit referendum fall in the pound – hurt the spending power of consumers. But forecasts of a bigger hit to growth did not materialise and job creation remained strong.